Effect of compensation management on employee performance at the St. Michael’s Catholic Hospital, Pramso

Thumbnail Image
Journal Title
Journal ISSN
Volume Title
Total compensation is a concept which is not usually given attention in many organisations. Compensation is mostly viewed as cash and therefore other aspects are neglected. Viewing compensation as a holistic system to manage for productivity is pertinent to organizational development. This study looks at the total compensation system and its management in the St. Michael’s Hospital, Pramso. To accomplish this, the study made use of compensation manuals and collective bargaining agreement of the hospital and also solicited responses to questionnaires from a cross-section of the employees. It was found out that though there were a lot of compensation packages available in the manuals of the hospital, employees were not fully aware of them. The study also revealed that communication regarding issues of compensation was poor with no avenues for employees to be heard on issues related to compensation. Policy manuals were not available for employees to educate themselves. The grass root therefore was not involved in any way in the formulation and implementation of the policies on compensation. The study therefore recommended to management to incorporate education on compensation packages in the orientation of new staff and organize periodic education programmes for existing employee. Also making available the compensation manuals to all employees was recommended as a means of self-education to reduce the unawareness. The study also recommended that management creates avenues for the employee to air their concerns on issues pertaining to compensation through periodic staff durbars. These coupled with verbal commendation of employees when implemented the study believes will go a long way to boost the morale of employees and in the long run have a positive influence on their performance and productivity as a whole.
A thesis submitted to the Department of Managerial Science, Kwame Nkrumah University of Science and Technology in partial fulfillment of the requirements for the degree of MASTER OF BUSINESS ADMINISTRATION (HRM OPTION).